Seagate CEO: Hard Drive Production Won’t Return to Pre-Flood Levels for a Year

In late October, Hardware Canucksreported that retailers were raising their prices on Hard Drives because flooding in Thailand had shutdown a number of key production facilities. Now, Seagate’s CEO is forecasting that it could take up to a year for the industry to return to pre-flood production levels.

I have high doubt about this...In my opinion, they are saying that only to keep price high for a year or so. Especially when you take a seagate drive and it's MADE IN CHINA. Thanks for emptying our wallet seagate ;)

In late October, Hardware Canucksreported that retailers were raising their prices on Hard Drives because flooding in Thailand had shutdown a number of key production facilities. Now, Seagate’s CEO is forecasting that it could take up to a year for the industry to return to pre-flood production levels.

Place its put together / final assembly doesnt matter. A lot of the components (eg electronics, motor, etc) came from 3rd party mfg'ers currently under water. PLUS, even with 24/7 production they wont be able to meet demand for awhile. This 1-2 gut punch is what is going to keep prices at the wholesale level high for a nice while...and greed at the retail level will keep it there even longer. :(

__________________
"If you ever start taking things too seriously, just remember that we are talking monkeys on an organic spaceship flying through the universe." -JR

“if your opponent has a conscience, then follow Gandhi. But if you enemy has no conscience, like Hitler, then follow Bonhoeffer.” - Dr. MLK jr

After all, maybe after a few flood and natural desaster some brand will bring back some factory in america. Seems safer here :P

Not hardly. Its "safer" to deal with mother nature in all her fury than deal with the large unions in the states. ANY yank who complains about jobs going over seas should be pointing the finger at big labor. Its just nearly impossible to get crap done in the states....NOW Canada on the other hand

Id love to see a mfg'ing plant back in Canuckistan.

__________________
"If you ever start taking things too seriously, just remember that we are talking monkeys on an organic spaceship flying through the universe." -JR

“if your opponent has a conscience, then follow Gandhi. But if you enemy has no conscience, like Hitler, then follow Bonhoeffer.” - Dr. MLK jr

IF these things were built in North America the prices would be higher than they are now. THe consumer will feel the brunt of this for years, greed will prevent manufacturers and retailers from dropping prices for a very very long time.

Not hardly. Its "safer" to deal with mother nature in all her fury than deal with the large unions in the states. ANY yank who complains about jobs going over seas should be pointing the finger at big labor. Its just nearly impossible to get crap done in the states....NOW Canada on the other hand

Id love to see a mfg'ing plant back in Canuckistan.

Maybe if we change our name to Canuckistan it'll sound enough like we're in Asia!

From what I've heard in the past about different hiccups in production, it usually takes 4-6 months to get production back to normal AFTER they deal with the hiccup. These things take quite a while as it doesn't just all start up instantly and there are tons of little steps. The thing that happens is they already have a bunch of stuff making for 3+ months into the future and that's why there are even HDDs and stuff available right now. If they didn't make so far ahead, we wouldn't have anything right now.

I would bet my mother's heart medication the reason the retail channel has such a shortage is that Dell, COmpaq, etc. all called in for the available stock and the manufacturers were all too happy to keep them fully supplied while not giving a single $hit about the end user consumer.

Again, I place full blame/responsibility on the horrible pricing on the retailers. I really don't care what nonsense they get their reps to post and what people are willing to believe, there is no logical reason that stock on shelves that is already paid for should have ever had a single penny price raise. Same goes for any future incoming stock, it should only cost to the penny more what they were charged. Retailers just can't help themselves and get so damn greedy though.